The coca cola company is widely termed as the leading organization in producing and distributing beverage drinks in the whole world. It’s an international organization with its headquarters situated in Atlanta-Georgia and having regional headquarters in every continent for proper administration. Even though the company is doing successful business with many strengths and opportunities throughout the world, it’s also facing many threats and weaknesses while doing business which are generally termed as the SWOT analysis. SWOT analysis is a process of analyzing a business, its environment, and resources and is used business strategic planning. I interviewed the General Manager of Coca-Cola Company, Mr. James W. Patterson and afterwards carried out SWOT analysis using the responses he made to my questions.
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Strength – What is golden about your company?
Mr. Patterson concurs that Coca Cola’s main strength lies in the fact that it is a global company with many subsidiaries in the different parts of the world. Therefore, it is able to customize its soft drinks to meet the desires of a particular local population. In addition, its global appeal means that it can draw on a worldwide market. As a result, it has customers running into billions of people. Such an extensive market gives the company a large revenue base.
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Weakness – Where are you losing money?
Over the years, there have been some Coca-Cola new launches that have not been well received by the market. For instance, Coca-Cola lemon, Coca-Cola lime and Coca-Cola black proved to be failures after their launches and were thus discontinued from production. This reflects a bad image for the company. As a result, the company has had to be reluctant to introduce new brands into the market fearing a backlash from customers.
Opportunity – What niches have your competitors missed?
Unlike other beverage companies that sell liquor and alcohol, Coca-Cola has not been subject to too many regulations such as age restrictions. As a result, its products can be consumed by all persons regardless of age. This gives it a wide customer base to explore.
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Threat – Where are you vulnerable?
Coca-Cola products have many substitutes such as juices, coffee, tea and other mineral water. In addition, its main competitor Pepsi has a variety of soft drinks. The availability of these easily accessible substitutes poses a serious threat to the dominance of Coca-Cola.